VIETNAM - Vietnam’s wood and wood product exports have consistently grown at over 10 percent annually.

This growth was maintained during the first two and half months of 2020 when wood and wood products (W&WP) exports reached USD 2.04 billion, a year on year growth of 18 percent.

With the COVID-19 pandemic spreading in Vietnam’s main export markets the well-developed supply-demand chain has been disrupted.

A survey conducted recently by VIFOREST and local associations illustrates that the COVID-19 pandemic is having a devastating impact on the timber industry sector of Vietnam. Even though the situation is changing fast and the worst picture has yet to come the export-biased wood industry of Vietnam is already facing a crisis.

The package of emergency support proposed by the government to adjust fiscal policies, social insurances, credit support, tax and fee exemption or reduction etc. is insufficient and inadequate to protect the industry from the impact of this pandemic. In all likelihood Vietnam will not see growth of W&WP exports this year.